AliExpress vs Amazon: Which is the better platform for dropshipping?

As a drop shipper, it’s important to choose the right platform to source your products. Two of the most popular options are AliExpress and Amazon. But which one is the better choice for dropshipping? In this article, we’ll compare AliExpress and Amazon to help you decide which platform is the right fit for your business.

Product selection

One of the first things to consider when choosing a dropshipping platform is the selection of products available. AliExpress has a vast selection of products, with over 100 million items listed on the platform. The products on AliExpress range from consumer electronics to fashion and home goods. This makes it a good choice for those looking to sell a wide variety of products.

On the other hand, Amazon has a more limited selection of products, with a focus on consumer electronics, books, and household goods. While Amazon does have a wider selection of products than it used to, it still lags behind AliExpress in terms of overall product variety.

Prices

Another important factor to consider when choosing a dropshipping platform is the price of the products. In general, AliExpress has lower prices than Amazon, especially when it comes to consumer electronics. This is due to the fact that AliExpress is primarily a wholesale platform, while Amazon is a retail platform. As a result, sellers on AliExpress are able to offer lower prices to buyers.

However, it’s worth noting that the prices on AliExpress can vary widely, with some sellers offering much higher prices than others. This means that it’s important to do your research and compare prices from different sellers before making a purchase.

Shipping times

When it comes to shipping times, AliExpress and Amazon both have their pros and cons. AliExpress generally has longer shipping times than Amazon, with the average shipping time being around 15-30 days. However, AliExpress does offer a variety of shipping options, including ePacket, which is a faster and more reliable option.

On the other hand, Amazon has much faster shipping times, with many products being eligible for same-day or next-day delivery. However, these fast shipping options come at a higher cost, which can eat into your profit margins.

Fees

Another important factor to consider when choosing a dropshipping platform is the fees involved. Both AliExpress and Amazon charge fees for the use of their platform.

AliExpress charges a commission on each sale, which is typically between 5-10%. In addition, AliExpress charges a processing fee for each order, which ranges from $0.05 to $1.50 depending on the value of the order.

Amazon, on the other hand, charges a referral fee for each sale, which is a percentage of the sale price. The referral fee varies by category, with the average fee being around 15%. In addition to the referral fee, Amazon also charges a fulfillment fee for each order, which is based on the size and weight of the product.

Customer service

When it comes to customer service, both AliExpress and Amazon have their strengths and weaknesses. AliExpress has a reputation for having poor customer service, with many buyers complaining about slow response times and difficulty getting issues resolved. However, it’s worth noting that the customer service on AliExpress has improved in recent years, and the company now offers a variety of support options, including live chat and email support.

On the other hand, Amazon has a reputation for excellent customer service, with fast response times and a variety of support options. Amazon also has a generous return policy, which can be helpful for dropshippers who may have to deal with returns from unhappy customers.

In terms of handling customer issues, both AliExpress and Amazon have dispute resolution processes in place. AliExpress has a dispute resolution center where buyers and sellers can communicate and attempt to resolve issues. If the issue cannot be resolved, AliExpress offers a money-back guarantee to buyers.

Amazon also has a dispute resolution process in place, and the company takes a more hands-on approach to resolving issues. If a dispute cannot be resolved, Amazon may refund the buyer or offer other compensation.

Dropshipping support

For dropshippers, it’s important to choose a platform that offers good support for the dropshipping business model. In this regard, Amazon has a clear advantage over AliExpress. Amazon has a dedicated program for dropshippers called Amazon FBA (Fulfillment by Amazon), which allows dropshippers to store their products in Amazon’s fulfillment centers and have the products shipped directly to customers.

AliExpress, on the other hand, does not have a dedicated dropshipping program. This means that dropshippers have to handle their own fulfillment, which can be time-consuming and logistically challenging.

Fraud and scams

Both AliExpress and Amazon have had issues with fraud and scams in the past. AliExpress has faced criticism for allowing fraudulent sellers to operate on the platform, and there have been numerous reports of buyers being scammed by fraudulent sellers on AliExpress.

Amazon has also had issues with fraudulent sellers, and the company has taken steps to address this problem. Amazon has implemented a number of fraud prevention measures, including enhanced seller verification and a performance-based seller rating system.

Pros and cons of AliExpress and Amazon for dropshipping

To sum up the comparison between AliExpress and Amazon for dropshipping, here are the main pros and cons of each platform:

AliExpress Pros:
  • Wide selection of products
  • Lower prices
  • Variety of shipping options
AliExpress Cons
  • Longer shipping times
  • Poor customer service reputation
  • Risk of fraud and scams
  • Lack of dedicated dropshipping support
Amazon Pros:
  • Good selection of products
  • Fast shipping times
  • Excellent customer service
  • Dedicated dropshipping program (FBA)
  • Fraud prevention measures
Amazon Cons:
  • Higher prices
  • Higher fees
  • Limited product selection compared to AliExpress

Conclusion

In conclusion, both AliExpress and Amazon have their pros and cons for dropshipping. Ultimately, the best platform for your business will depend on your specific needs and priorities. If you’re looking for a wide selection of products at lower prices, AliExpress may be the better choice. However, if you value fast shipping and excellent customer service, Amazon may be the better option. It’s worth noting that it’s possible to use both platforms in your dropshipping business, and many successful dropshippers do just that.

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